1. User's Guide
  2. Working with Standard Profitability and Cost Management Applications
  3. Managing Standard Profitability Allocations
  4. Defining Drivers and Formulas for Standard Profitability Models
  5. Driver Formulas

Driver Formulas

A driver formula can include any combination of variables, functions, and numeric values. For each element in the driver formula, you must select the driver measure and location.

Drivers are attached to source member intersections in allocations. The driver contains the formula used to calculate the factor by which measures are multiplied for the source intersection value. A separate factor is calculated for each destination intersection.

These types of driver formulas available:

  • Predefined Driver Formulas are used to perform common calculations. See Predefined Driver Formulas.

  • Custom Driver Formulas are used to calculate unusual or specific situations. See Custom Driver Formulas.

  • Driver Basis Types offer alternative means of setting rates on a formula. Actual basis drivers use calculated results, and the standard basis driver enables you to set an assigned rate on a driver to allocate the costs downstream. See Driver Basis Types.

  • Priority Sequence Drivers are used to define which allocations within a stage should be calculated first